I am 62 yo, wife is 61 yo. Our combined stats:
-We have $27k in credit card debt (0% interest, due to finding 12-18 month 0% promotional rates),
-$200k home mortgage using a 5/5 arm at 2.75% which amounts to a $1000/month P&I payment–our property tax in NJ is $1000/month,
-$400k in retirement savings–401k, ira, annuities mostly in stocks and equity mutual funds,
-$11k/month after tax take home pay.
-We contribute about $2500/month to our 401k company accounts.
I want to retire by age 67 and do so entirely debt free if possible. Yet I feel I our retirement accounts are too meager and need some serious bulking out between now and my retirement when my income will be considerably less. What should we do starting now– Pay off all debt asap, including the entire mortgage via accelerated payments but reduce my monthly retirement savings contributions or max out my retirement contributions at the risk of still having either credit card or more likely some remaining mortgage debt to pay off?
If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.I'm 62 Years Old and Saving Hard for Retirement. What About Our Other Debt? - Michael by Steve Rhode